why dont we try to figure it out and then we can go help the attorneys and judges figure it out lol.here are my current notes. they go something like this so far. were am i wrong. lets hash this out.
Below Median Income
1 - if your average last 6 months income was less then the median for your state then you can file a chapter 7.
Above Median Income
2 - if your income was more then the median for your state then you have to take the means test. the means test restricts your main categories of expenses by using the IRS standards and state accepted levels.
3 - calculate your disposable income by taking your total monthly income and subtract allowed deductions. these are being listed as payments on secured debts like mortgage, rent and car loans as well as payments on priority debts such as child support, alimony, tax debts and school tuition. some sites say to not subtract things such as food, gas, clothing, etc. some sites also indicate that expenses for reasonably necessary health insurance, disability insurance, health savings account expenses for the debtor, the spouse of the debtor, or the dependents of the debtor can be used. some sites saying that student loans cannot be subtracted but chap 13 admin costs for that region up to maximum of 10%.
3.1 - if disposable is under $100 ($6,000 in 5 years) then you can file chapter 7. this is not presumed abusive.
3.2 - if disposable is more than $166 ($10,000 in 5 years) then you can not file chapter 7. this is presumed abusive.
3.3 - if disposable is between $166 and $100 inclusive then you can only file chapter 7 if your disposable income will not allow you to pay 25% or more of non-priority unsecured debt within 5 years. if you can pay it is presumed abusive.
Cases Presumed AbusiveNotes
A - two sets of guidelines describe permissible expenses for the means test:
A.1 - the IRS expense guidelines consisting of "National Standards, Local Standards," and Other Necessary Expenses
